Motorbike Demand in China to Hit 15m in Ten Years

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Last updated at: (Beijing Time) Monday, December 03, 2001

Motorbike Demand in China to Hit 15m in Ten Years

By 2005 motorbike demand in the Chinese market will reach 12 to 13 million. By 2010, the demand will hit 14 to 15 million. Rural areas and boundary regions between urban and rural areas will be the major places where will witness rapid development of motorbikes in the coming several years. Competition between overseas and domestic motorcycle manufacturers will become more fierce after China's entry into the WTO.

Demand Volume to Surge Quickly

It is learnt from the 2001 Beijing International Motorbike Exhibition opened on Friday that by 2005 motorbike demand in the Chinese market will reach 12 to 13 million. By 2010, the demand will hit 14 to 15 million.

Rural Areas to Witness Rapid Development

It is estimated that rural areas and boundary regions between urban and rural areas will be the major places where will witness rapid development of motorbikes in the coming several years.

High-grade Motorbikes to Have Broader Market

High-grade and in-depth-processed motorbikes which can compete with international fashionable styles will have broader market. Since many cities in China currently forbid using motorbikes, many enterprises divert their marketing focus to towns and countryside. They started to establish and improve sales and service network in rural areas step by step.

Competition Between Overseas, Domestic Manufacturers

Meanwhile, overseas motorcycle giants also take a liking to the Chinese motorbike market. They started to adjust strategy in the country vigorously and plan to occupy one third of the Chinese market in three or five years.

Moreover, some domestic enterprises also eye overseas market. The export volume last year reached 1.98 million. In addition to Vietnam and Indonesia, more and more countries in Africa, South America and Europe introduce Chinese-made motorcycles.

Main Trend of the Motorcycle Market

Demand for Rural Motorbikes Hold on

Since purchasing power in rural areas take shape by stages, the demand volume for rural motorbikes will maintain at about a half of the total output in the 10 Five-year Plan period. The total demand volume in town and country will reach about 7.5 to 8 million. Export volume will account for nearly 10 percent of the gross output.

Middle, Large Discharge Volume Motorbikes Favorable

Related personage expected that motorbike manufacture will become middle or large discharge volume oriented when large and middle cities in China lift ban on motorcycles. Thanks to the small peak of vehicle purchase in large and middle cities in three to five years, motorbike manufacture will focus on products above 250ml in discharge volume. The total annual demand will maintain basically at about 10 million.

With the progress of the development of "comfortable-off" cause, the grading and quality of motorcycles will be further improved to meet the demand of common people.

Motorcycle Market to Be Standardized

Besides, the market of motorbikes will be gradually standardized and related enterprises will pay more attention to technological renovation and own products development in the coming several years after China's entry into the WTO.

China is expected to earn 800 million U.S. dollars from the export of motorcycles by the year 2005.

As a major measure to develop an export-oriented motorcycle industry, China also encourages a number of key motorcycle enterprises to establish joint-venture companies overseas so as to take a bigger share of the international market.

Last year, Chinese motorcycles were exported to 121 countries and regions, with a total earning of 747 million U.S. dollars.

By PD Online staff member Du Minghua

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